Price: $0.19Common Shares: 3,442,449 (including recent private placement)Warrants: 113,500 at $0.18 & 2 million at $0.16 (all insider held)Insider Holdings: 2,862,680 (83.2% as per Sedi) *Note* Kona Bay was formed in June 2016 from AKM.V(ACT360 Solutions)- Below are year end results. Q1 will be out end of February.

Sales Revenue: $1,477,571 (2015 - $1,212,207)Expenses: $1,840,499 (2015 - $1,812,887)Net Loss: -$349,480 (2015 - $600,680)- Although a loss, revenues are increasing and expenses are only slightly higher year over year

MD&A Highlights

Acquisition Growth StrategyThe Company’s intention to actively seek buy-side mergers and acquisitions as part of an ongoing growth strategy continued during 2016 and the most current quarter, utilizing the services of a number of consultants to assist in identifying target entities with strategic synergies, analyzing their business operations, and executing transactions through to closing. The Company continued to conduct due diligence and seek funding for a number of proposals under review. The Company uses its wholly owned subsidiary, Newport Concepts Corp., as the vehicle to engage with investor groups, joint venture partners, and acquisition targets. The Company remains committed to growth through acquisitions, and continues to engage with potential partners and consultants, with a focus on online customer acquisition in the North American and Asian markets.

Educational and Internet Based ServicesDuring the year ended September 30, 2016, as in the year ended September 30, 2015, the Company continued to operate primarily through its subsidiary, ACT360 Media, generating revenues in four areas:

· The Student Marketing Services segment provides student recruitment services to post-secondary education institutions, derived from the Company’s proprietary international student marketing platform which helps colleges and universities qualify and recruit international students, assisting students from South America, Europe, Africa, the Middle East, and Asia to achieve their study abroad goals. The Company’s student marketing platform user database consists of approximately 4.6 million international student prospects. The Company continues to seek to monetize this unrealized asset and diversify revenue by expanding its product mix to include value-added qualification services and pursuing traditional universities and colleges through various channel partners.

· The Internet Applications segment focuses on the sales of educational products, including the sale of English tests and grading services through B2B channel partners in Europe and Asia.

· The Custom Software Development segment focuses on the development of custom test software applications. Revenues in this business unit are typically comprised of upgrades and enhancements to legacy clients.

· The Other Activities segment includes website and application hosting services in support of the Company’s Custom Software Development clients.On January 12, 2017, the Company announced its board of directors had approved a proposed spin off of each of the Company’s online advertising and software as a service businesses into independent publicly traded companies (the “Arrangement”). The board of directors believes that the Arrangement will facilitate each separate company in attracting an investor base for each entity’s specific business, thereby maximizing shareholder value. Details of the Arrangement and the proposed board of directors and officers of the two spin-out companies will be set forth in the Company’s management information circular, which will be filed on SEDAR in due course. The Company expects to complete the Arrangement in the first half of 2017. The Arrangement is subject to customary conditions, regulatory approvals and tax considerations.